Indonesia’s landmark sovereign green bond was
the first in the world to be structured as a sukuk.
The February 22 issuance also marks the first time the ASEAN
national green bond framework has been used since its
introduction in November.
The $1.25 billion five-year sukuk al-wakala, which
was issued on February 24 on the Nasdaq Dubai, was priced at
3.75%. Abu Dhabi Islamic Bank, CIMB, Citigroup, Dubai Islamic
Bank and HSBC are joint bookrunners. Strong demand for the
issuance drove the coupon down - it was previously expected to
be in the region of 4.05%. It was rated Baa3 (investment grade)
"We believe that Indonesia continues to be one of the
key issuers from Asia with strong credit standing in the space
of sovereign bonds," said Giosha Ralie, managing director, head
of corporate and investment banking, Citi Indonesia. "The bond
is priced at the...